Price increases and consistent sales volumes across all products drove record revenue and NPAT for the year ended 30 June 2018 (FY18) for ASX-listed Base Resources.
The company also progressed its long-term strategy with the acquisition of the Toliara Sands Project in Madagascar and optimisation of the Kwale Operation in Kenya.
“This has been an outstanding year for Base Resources with our team achieving the goal of a total recordable injury frequency rate of zero – a fantastic outcome for any resources operation globally and testament to the quality of our management team,” says Base Resources MD, Tim Carstens.
“Consistent production and strong average price improvement across all products contributed to record financial results for Base Resources and has allowed significant debt reduction and established a strong platform from which to grow the business.
“The well-timed acquisition of the Toliara Sands Project in Madagascar has given Base Resources an outstanding growth path in the development of another world-class mineral sands project with a long production life.”
Priorities for the 2019 financial year include:
- Completion of the pre-feasibility study for the Toliara Sands Project and commencement of the definitive feasibility study, ahead of a planned final investment decision in late 2019
- Pursuing mine-life extension at the Kwale Operation with continuation of the current encouraging exploration drilling program; and
- Retirement of the Kwale Project Finance Facility.
As stated in the June Quarterly update, Base Resources expects to produce from its Kwale Operation in FY19:
- Rutile – 88,000 to 93,000 tons
- Ilmenite – 420,000 to 450,000 tons; and
- Zircon – 32,000 to 37,000 tons.